The Best time to List or Buy a New Home
Just like the seasons of the year, the right time to buy or sell a home may depend on the calendar. Though many cities have their own timeline, the time buyers are most active and just how supply and demand for inventory is affected during certain month’s matters to those looking to market their homes. According to Realtor.com, 50% of homes are sold in summer. Real-estate data firm RealtyTrac analyzed more than 32 million sales of single-family homes and condos since 2000 and reported that buyers get the best deals in October. A RealtyTrac analysis of home sales over the past 15 years pegged October as the best month to buy at a discount, for 2.6% less than the fair market value at that time. In Miami, specifically, springtime is one of the best times to sell property.
Selling and buying real estate is a seasonal and cyclical event with serious challenges encountered by primarily by weather and location, among many other considerations. Most reports will verify that Fall and Winter months produces more “serious” buyers with less inventory while the “Spring” season offers more homes on the market for sale but is overwhelmed by “browsers” not intending to actually buy. So what about summer months? Well, it depends on where you live. Reports also indicate that home prices rise with the temperatures, so for a discount, look for a cool down. Your negotiating power could be more beneficial in the Fall/Winter months, specifically November and December, studies suggesting that buyers who made offers in those months got the best deals, even with a smaller selection.
In Miami, summer months see a swell in inventory as people leave their dwellings to find more “suitable” weather conditions with August to October becoming vacationing months for most sellers. That means empty homes and condos for sale and rent. The uptick in real estate listings means sellers are will to take a chance at enticing foreign investors vacationing in the states and homebuyers from Northeastern cities whom after being cooped up all winter are looking into new destinations for second-homes or investment properties. For those buyers that are in state during summer season, browsing begins with an assortment of homes to choose from and plenty of Open Houses to visit. Families with school-age children often account for larger, pricier homes, and they prefer to buy in the summer when kids are out of school. Reports indicate that nationwide, fall is said to be the best overall time to invest in real estate for first-time or second home-buyers. A surge in activity during the winter months are attributed to vacationing tourists, foreigners and “snowbirds” seeking winter destinations for leisure and investments.
Other impacts that can affect the real estate selling and buying process is the start of the school year, the drop in temperature, the return of rain and the loss of sunlight hours all contributing to the challenger for buyers and sellers. In the end the best time to buy or sell a house will be determined by a number of factors that depends solely on the individual, your commitment and on your direct needs and ultimately whatever makes the most sense for you financially.